“We Build the Wall” Fundraising Fraud

“We Build the Wall” Fundraising Fraud (2025 Update)

Background

“We Build the Wall” kicked off as a crowdfunding campaign on December 17, 2018, led by Brian Kolfage, a decorated U.S. Air Force veteran injured in Iraq, and Steve Bannon, Donald Trump’s former political strategist. Launched on GoFundMe, it aimed to privately fund a border wall along the U.S.-Mexico line, bypassing stalled government efforts. Promising “100% of funds” for construction, it tapped into Trump’s 2016 campaign pledge, rallying supporters disillusioned with Congress. By January 2019, it shifted to a nonprofit, We Build the Wall, Inc., after raising millions.

Fraudulent Activities

The campaign amassed over $25 million from 300,000+ donors, but allegations soon emerged that organizers siphoned funds for personal gain, not wall-building:

  • Luxury Vehicles and Boat Payments: Kolfage spent over $350,000 on a yacht dubbed “Warfighter,” a luxury SUV, and other personal assets, far removed from border construction.
  • Excessive Salaries: Despite vowing “not a penny” in compensation, Kolfage pocketed hundreds of thousands via secret payments, routed through Bannon’s nonprofit and other channels.
  • Shell Companies and Fake Invoices: Organizers allegedly used sham entities—like a citrus company tied to co-defendant Timothy Shea—and forged invoices to launder over $1.5 million, masking lavish spending on jewelry, cosmetic surgery, and more.

The scheme unraveled as promised wall segments lagged, with only a half-mile built by 2020, plagued by legal and engineering woes.

Legal Consequences

In August 2020, federal prosecutors indicted Kolfage, Bannon, Andrew Badolato, and Shea for wire fraud and money laundering. Bannon’s arrest on a yacht off Connecticut made headlines, but Trump pardoned him on January 19, 2021, hours before leaving office, shielding him from federal penalties. Kolfage, Badolato, and Shea faced trial:

  • Kolfage: Pleaded guilty in April 2022 to conspiracy to commit wire fraud and tax fraud; sentenced April 26, 2023, to 51 months in prison, with $2.9 million in restitution.
  • Badolato: Pleaded guilty alongside Kolfage; got 36 months on April 26, 2023, and $1.4 million in restitution.
  • Shea: Convicted October 2022 after a hung jury; sentenced July 25, 2023, to 63 months, the longest term, with $1.8 million forfeited.
  • Bannon: Facing state charges from Manhattan DA Alvin Bragg in September 2022, he pleaded guilty February 11, 2025, to fraud, securing a three-year conditional discharge—no jail—barring him from New York fundraising roles.

Judge Analisa Torres called it a “fraud that hurt us all,” citing a chilling effect on political giving.

Impact and Public Perception

Once a symbol of grassroots border security zeal, “We Build the Wall” became a scandal that eroded trust in crowdfunding. Donors, promised a citizen-led wall, saw funds fuel luxury instead—Kolfage’s boat and Bannon’s $1M+ cut exposed in court. A February 15, 2025, Forbes piece dubbed it a “cautionary tale” of unchecked ambition, while a March 5 NYT op-ed linked it to Trump’s broader legal woes, like his $453.5M NY fraud penalty. Critics decry it as exploitation; supporters downplay it as a partisan hit. As Trump governs in 2025, the case spotlights risks of politically charged fundraising and demands for tighter oversight.